Manchester City's payouts to survivors of sexual abuse are likely to range from £15,000 to £100,000 after the club decided to launch a redress compensation scheme for the victims of serial paedophile Barry Bennell.

City's insurers are understood to be thus far refusing to pay out but the club have opted to commit their own funding to help compensate those abused by Bennell and former youth coach John Broome. Estimates suggest there are at least 40 victims.

City will then face a seven-figure battle with insurers in an attempt to cover the costs that could run into several million pounds.

Manchester City are launching a redress compensation scheme for victims of Barry Bennell

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The public liability insurers are likely to cite that Bennell was more commonly involved with affiliated feeder clubs that would produce players for the City youth teams instead of being a salaried member of club staff.

The insurers would need to be convinced Bennell had a prominent role in the club's youth structure, where he abused boys as young as eight years old.

Bennell is serving a 30-year prison sentence for his crimes. Bennell also worked at clubs such as Crewe Alexandra but he had two three-year spells around City in the late 1970s and early 1980s.

City are conducting their own investigation while Clive Sheldon QC is also leading an independent inquiry for the Football Association.

When asked by Sportsmail whether they intended to replicate City's model and issue apologies, a Crewe spokesman said the club do not wish to comment.

Payouts to survivors of sexual abuse are likely to range from £15,000 to £100,000

City, however, have decided not to wait until the end of their own or the FA's investigations to set the ball rolling on compensation cases and are the first club to take this approach.

While the club may recoup compensation payouts for the Bennell cases, City are resigned to funding the compensation for the victims of Broome.

The second paedophile was unearthed during City's internal investigations. Broome died in 2010 but nine people have come forward to allege sexual abuse by the coach between 1964 and 1971.

However, the insurance policy for Football League clubs is believed to have come into effect in 1972, after Broome's period around City, so any compensation payouts will be funded by City rather than insurers.

As for the Bennell victims, a sliding scale will take some figures up to and possibly beyond £100,000 for those who suffered the most severe abuse. The club will take into account the gravity of the abuse, the subsequent emotional damage and the impact on future employment.

Former coach Bennell is currently serving a 30-year prison sentence for his crimes

Gary Cliffe, who was abused by Bennell at City's old ground, Maine Road, told talkSPORT: 'As far as I'm concerned City have done a marvelous thing in terms of taking responsibility and accepting culpability.

'This is still ongoing and there have been no offers, as such, for damages. But it is a start. As far as I'm concerned no one has received a penny.

'I think the main thing is it's brilliant they are speaking to us, which is in stark contrast to other clubs. I've had to be very patient. These things take time.'

City's scheme will aim to resolve cases within two months and avoid lengthy and emotionally distressing trials.

Senior City officials will also issue face-to-face apologies to the survivors. City are then likely to present a full public apology and an admission of responsibility upon the culmination of their civil cases and negotiations with insurers.